Customers Bancorp (CUBI) investor relations material

Executive summary

• Achieved strong Q1 2026 results with net income of $69.7 million, core EPS of $1.97, ROAA of 1.13%, and ROCE of 13.1%, with tangible book value per share up 16% year-over-year to $63.54.

• Total deposits grew 14% year-over-year and loans rose 15% year-over-year, both outpacing industry averages.

• Maintained top-tier efficiency and credit quality, with positive operating leverage and stable credit metrics.

• Advanced AI adoption, with 75% of team members licensed and over 500 custom agents built, saving 28,000 hours in workflows.

• CEO transition completed, emphasizing continuity in strategy and culture.

Financial highlights

• Net interest income for Q1 was $191.4 million, up $24 million or 14% year-over-year, with NIM at 3.22%.

• Total deposits reached $21.6 billion, up $2.7 billion or 14% year-over-year, with non-interest-bearing deposits at a record $6.7 billion (31% of total).

• Total loans rose by $600 million to $17.4 billion, a 15% annualized growth rate.

• Tangible book value per share reached $63.54, up 3% sequentially and 16% year-over-year.

• Core efficiency ratio improved by over 300 basis points year-over-year to 45.4%.

Outlook and guidance

• Reaffirmed full-year 2026 outlook for 8–12% growth in deposits and loans, net interest income of $800M–$830M, non-interest expense $440M–$460M, CET1 ratio 11.5–12.5%, and tax rate 23–25%.

• Management targets increased use of AI and automation, deeper payments capabilities, and continued above-industry loan and deposit growth.

• Focus remains on sustainable long-term growth, operational excellence, and maintaining strong capital, liquidity, and credit quality.